Archive for the ‘flint hills refinery’ Tag

Ripple effect of Flint Hills closure will shake up PetroStar costs – Alaska Journal of Commerce – March Issue 5 2014 – Anchorage, AK   Leave a comment

Ripple effect of Flint Hills closure will shake up PetroStar costs – Alaska Journal of Commerce – March Issue 5 2014 – Anchorage, AK.

Refinery shutdown may impact asphalt supply, costs – Alaska Journal of Commerce – March Issue 5 2014 – Anchorage, AK   Leave a comment

Refinery shutdown may impact asphalt supply, costs – Alaska Journal of Commerce – March Issue 5 2014 – Anchorage, AK.

Posted March 28, 2014 by aurorawatcherak in Alaska

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Is there a way out for the North Pole refinery? – Fairbanks Daily News-Miner: Community Perspectives   2 comments

Is there a way out for the North Pole refinery? – Fairbanks Daily News-Miner: Community Perspectives.

I share this because it is a major question for my town. It might be easier to just blame Koch Industries for closing the refinery, but they have stated the costs of the sulfolane cleanup as only one reason they’re closing it. The larger issue is that the State of Alaska sells them state royalty oil at an inflated rate – 2 1/2 times what they sell royalty oil to the Kenai Refinery. Why? Nobody seems able to answer the question, probably because they keep shifting the question over to the sulfolane cleanup issue.

The Flint Hills Refinery is the 2nd newest refinery in the United States, by the way. The newest is the referenced Kenai Refinery. Both were built more than 30 years ago. That should matter to Lower 48ers too, because the impossibility of permitting new refineries is one of the issues driving the high cost of energy in this country.

I go back on forth on this. I don’t like the government being involved in much of anything, but Alaska is all about state government because of the way we were forced to structure our mineral resource ownership at statehood. By federal law, no individual Alaskan may own the subsurface minerals under their property. It all belongs to the federal government, the State of Alaska, or a Native corporation. Individuals who find commercial-quanity minerals on their land are compensated for the loss of use of the surface, but the revenues derived from sale of the subsurface resources go into the state coffers. Alaskans are not allowed to directly benefit from what is under their property. Thanks to governors like Jay Hammond and Wally Hickle, the people receive some return on our investment through the Permanent Fund dividend, but most of the money is used to fund state government.

Hence, we cannot grow a private economy that is sustainable without government investment because the government owns the resources collectively for the people. Like it or not, the people’s corporation of Alaska is the reality created and sustained by the Alaska Statehood Compact. While I think that’s a mistake, I also think that — since we’re stuck with it for now — we can work with it if the feds get out of our way. One of the beauties of having 50 seperate states that have sovereignty (if we would claim it) is that Alaska could do things our way and that could be very different from other states … and that would be fine because it would allow many different versions of republican government throughout the nation.

If we can ever get back to federalism ….

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